Main reason he reached out to me to sell the property was because HomeUnion was exiting the property management business.

Reason I am asking is because I am looking at one right now and I want to ask for the correct information that an investor would want before I try and wholesale it. 

I'm trying to balance reasonable/ fair rent prices and give them a little bit of a friend discount.

I'm very hesitant to get rid of the house for numerous reasons that I stated in my last reply but also that rate. 

The only reason we asked for time to do an inspection was due to a strong recommendation from a realtor in my moms office (she's my agent and this is her first deal as well), based on the fact that the seller flat out said due diligence doesn't apply.

The reasons you wait are: you get amazing tax breaks (deductions and depreciation) while you ownthe tenant pays the mortgage for youwhen it is free and clear, you have passive income coming in for lifeIf you flip it, you get $20,000.

I would pay off the sellers note (some with a penalty) once I got more reasonable conv. financing.

If you don't tell him all the reasons you got a screaming deal, then he must assume it was an arms length open market transaction, which in turn will mean the other home appraises low, which may mean it sells for less, which in turn means one of YOUR comps sold for less, which could impact market value of your home should you go to sell or refinance it.I would be selective about what I would share, and I wouldn't lie, but I'd only share information that will, or could, lead to my property selling or appraising for more. 

Leave him in place unless you have a justifiable reason to terminate the lease early.

It is reasonable to expect it is coming from another unity, but even if the tenants appear to be clean people they might leave food out all the time.